Vietnam urges haste in U.S. recognition of market economy status

Vietnam has officially requested the U.S. to recognize it as a market economy and urged expedited processing of relevant procedures.

The request was made on September 8 on the eve of the historic upgrade in bilateral relations to that of a comprehensive strategic partnership during President Joe Biden’s September 10-11 visit to Hanoi.

Market economy status generally means lower and more manageable/predictable anti-dumping margins.

The U.S. has said that Vietnam’s request will be reviewed as expeditiously as possible in accordance with U.S. laws.

A joint statement by both sides said: “The U.S. applauds Vietnam’s progress in significant market-based economic reforms, and affirms its enthusiasm and commitment for a broad, strengthened, supportive and constructive engagement with Vietnam in its transition to a market economy, and subsequently to market economy country status under U.S. law.”

President Biden and General Secretary of the Communist Party of Vietnam Nguyen Phu Trong reaffirmed the importance of economic, trade, and investment cooperation and innovation-driven inclusive economic growth as the core foundations and sources of momentum in the bilateral relationship.

During his September 11 meeting with the U.S. president, Chairman of the National Assembly of Vietnam Vuong Dinh Hue urged the U.S. to complete relevant procedures soon and recognize Vietnam as a market economy.

A day after the historic upgrade in bilateral ties, U.S. ambassador to Vietnam Marc Knapper told the The Investor that both countries were now in a position to have the most open and frank dialogues about sensitive and uncomfortable issues related to trade and investment, including the recognition of Vietnam as a market economy.